Before you sell your Ibis real estate property, it is important to be aware of all the steps and the costs to get a realistic estimate of the profit you stand to make. It can be disappointing when you sell a home expecting to earn a certain amount of money, only to end up with less due to hidden or unforeseen costs that you were unaware of.
Generally, home selling costs include repairs, appraisal fees, and commissions. Here are seven other expenses to prepare for.
- Staging costs
Vacant homes can be challenging to sell, especially if the pool of prospective buyers aren’t keen on imagining what a space could look like. Most of the time, they want to be shown rather than told of a room’s potential. That is where home staging comes in.
With the help of a professional home stager, you can show homebuyers what each space can look like or how it can be used. It gives a visual of the lifestyle one can enjoy in the home by telling a story targeted towards your intended market. Furniture and décor are often borrowed from stores and other contractors, but most established home staging services have collections they can pull items from.
Since home staging entails a lot of work, hiring a professional can cost a pretty penny. Staging services vary in price, depending on the scope of the work and the experience of who you hire. This can range from $800 to over $2,000, minus rental fees. On the bright side, this investment can help you sell your home over your original list price— as much as 7.1% returns.
When your home is on the market and is open for viewing, you will need to turn on the lights, air conditioning, or even heating depending on the season. Potential buyers will not want to tour a home that’s dark, hot, or cold. If you don’t turn on air conditioning during hot summers, it also gives a chance for mold to grow, which can later cost you for repairs.
A well-manicured lawn and good curb appeal can attract buyers into your home. If you want your property to sell for more, consider hiring a landscaper to spruce your yard. A professional might charge a few thousand dollars for full landscaping from scratch. While you can do some of the work yourself— such as trimming, mowing, and weeding— buying plants to add some color to your lawn, among other things, can add to the total cost.
The cost of repairs largely depends on how well you’ve been maintaining your home. If you have been following your routine home maintenance checklist, chances are that the house will only need a few minor repairs or updates. On the other hand, neglect can translate to more work and pressing issues that should be addressed ideally by a professional.
If you skimp on costs, buyers will notice poorly done repairs during the home inspection. Moreover, you’ll still have to pay for more repairs one way or another. You’re better off paying for well-done repairs from experienced and trusted contractors right away to prevent problems later on. Take note of damages such as rot, mold, cracks, and chipped paint. Buyers are also more likely to purchase a home that’s in good condition and needs fewer repairs over one that has a lot of damages that need fixing.
One of the benefits of selling a home in the Sunshine State is that sellers don’t have to pay capital gains tax. That said, there are a few other taxes that need to be paid. The rates will depend on several factors, such as your income bracket, the type of property you sold, and the length you owned the home.
Sellers who owned their properties for more than a year pay less federal capital gains tax, while those who have only owned their homes for less than 12 months are subject to higher rates. You may be exempt from paying if the property in question was in your name and that it served as your primary residence for two years. This can entail savings of $250,000 to $500,000 (if you file a joint tax return with your spouse), subject to approval of the Internal Revenue Service (IRS).
Sell your Ibis real estate property and make it stand out among other Palm Beach County homes for sale with The Telchin Group. Call the team or Eric Telchin today at 561.301.0249 or send an email to list your home with experienced real estate specialists.